Major global producers of animal proteins, namely Brazil's JBS SA and BRF SA believed that global demand for ‘real’ meat will continue to increase in the next few decades, buoyed by rising income levels and population growth in developing nations such as China and India.
With protein consumption set to grow by over 70% through 2050, according to UN forecast report, the long-term outlook remains bright for the meat industry. “We are seeing growth in all regions, including developed nations,” said JBS CEO Gilberto Tomazoni.
Rising consumer concerns over health, animal welfare and the environment have resulted in the growth of the plant-based industry with traditional meat producers facing competition from new plant-based producers like Impossible Foods and Beyond Meat. These companies have used the same narrative – putting the blame on the meat industry for contributing to global warming by emitting methane, as well as destruction to forests and the environment, and to promote their ‘meat alternatives’ as a more sustainable long-term solution.
Despite this, the global meat players are convinced that its smaller plant-based competitors will not be able to replace them, but most likely play a complementary role in meeting the booming protein demand.
Lorival Luz, Global Chief Executive of BRF SA said, “Meat producers are also doing more to increase sustainability than many consumers realise, and the suppliers need to fill the gap between perception and reality when it comes to environmental and animal welfare concerns.” Both JBS and BRF have policies that avoid sourcing from areas that recently went through deforestation.
The only concern is that these companies did badly in communicating their ‘sustainability’ efforts to the end consumers.